If this is a single-member LLC (you are the sole owner), then you will file the information for that LLC on your personal income tax return using Schedule C (Self-employed profit and loss).
To input your Schedule C LLC activity:
If the LLC is owned by more than one person, it will most likely need to file a partnership income tax return (Form 1065) UNLESS there was an election made to be taxed as a C corporation or a subchapter-S corporation, in which case it will need to file Form 1120 (C corp) or 1120-S (S corp). TurboTax software for businesses can be found at https://turbotax.intuit.com/small-business-taxes/
Note: A single-member LLC may make the election to be taxed as a corporation, which would require filing Form 1120 or 1120-S.
May you share where to enter a LLC information in 1041? The LLC is wholly owned by the trust. Thx
you pretend the LLC doesn't exist since for tax purposes it's a disregarded entity. so if it had interest income it would be entered when you're asked about interest income. business income would be entered on Schedule C and rents and royalties on schedule E.
It is a K1 issued to the disregarded LLC, which is wholly owned by the trust. So shall I enter the K1 as if it is issued to the Trust? thx again
Thank you. It is a K1 issued to the disregarded LLC, which is wholly owned by the Trust. So shall I enter the K1 as if it is issued directly to the Trust? thx again
@relyonendyind416 wrote:
It is a K1 issued to the disregarded LLC, which is wholly owned by the Trust.
"Wholly owned"? Is the LLC the sole beneficiary of the trust with you being the only member of the LLC?
The trust is the only member of the LLC. The LLC is not the beneficiary of the irrevocable trust. Thanks
since a single-member LLC is a disregarded entity, you would report the income on the trust return as if the LLC did not exist.